Bahrain has unveiled its first stablecoin issuance rules through the Central Bank of Bahrain (CBB) to ensure safety and innovation in digital assets.
The rules demand a 1:1 reserve ratio for stablecoins, strict regulations including annual audits, cyberattack safeguards, and robust internal controls.
Only licensed companies meeting specific requirements can issue stablecoins, with transparency, good governance, risk management, and secure IT frameworks.
Unique to Bahrain are opportunities for yield-bearing stablecoins such as Bahrain Dinar, US Dollar stablecoins, and Sharia-compliant stablecoins, fostering safety and attracting investors.